Airbus and Boeing are used to being kept on their toes by the outspoken Al Baker and both have been given a warning. Al Baker says Qatar Airways is still interested in the largest variant of the Airbus A350, the -1000, for which it holds 20 orders, but that the airline is still disappointed with the variant's performance figures. "Airbus are working to improve the aircraft, but I want to stress that as the aircraft is today, Qatar Airways is not happy." The airline has a further 60 commitments for the -800 and -900 versions of the A350.
Al Baker says he is confident of receiving the first of 30 Boeing 787-8s - the 53rd Dreamliner off the production line - in time to enter service shortly after being displayed in Qatar Airways colours at the Farnborough air show in July. But he warns that failure to deliver by this deadline will not be tolerated. "Boeing is aware that Qatar Airways will not accept any further slippage," he says.
He also said a potential acquisition of the Bombardier CSeries has been "shelved" but that Qatar Airways "will come back to it". Al Baker promised to introduce radical changes at Cargolux, in which Qatar Airways owns a 35% stake. "They have been in the cargo business for 25 years longer than we have. But it is important that the culture and the way the business is run happens in a different way. Times have changed but their business model has not. We want to bring in efficiencies and help them streamline by introducing them to our culture."
He said the immediate outlook for the cargo market remains gloomy, admitting that Qatar had invested in Cargolux at a "difficult time" for the sector. "Cargo is bad at the moment. Luckily we are not a major operator of freighters so we can weather the crisis. In the long term I expect it to improve, but in the short term, no," he said.
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This, from a CEO whose company has yet to earn a single dollar...let alone publish a financial statement! Presumably, the corporate culture Al Baker proposes to introduce to Cargolux (one of Europe's success stories) is evidently confrontational, arrogant, and (judging by the climate at Qatar Airlines) more likey to incite dissension and ill-will than inspire the team on to greater success. If these comments had emminated from a man at the helm of a company with a long and prestigious track record, one might be tempted to take them seriously. But in view of his repeatedly embarasssing habit of publicly insulting and alienating key stakeholders, one can only wonder how long it will be before those holding the Qatari purse-strings decide to do a litle 'streamlining' themselves. Winning 'airline-of-the-year' awards is commendable. But to do so and be profitable...now that's the sign of a good investment! In this arena, Al Baker might take a lesson or two from Cargolux.
ReplyDeleteYou couldn't have said it any better. Though Qatar Airlines is Rich and Wealthy though I cannot measure their success; however Mr Al Baker has been in the news recently and he's certainly not helping issues with his public speaking. His harsh criticism and threats though needed but constant repeatedly of same thing becomes stale sooner or later. I don't know of their corporate strategy but the way he's heading is so a wrong path. I guess he needs to borrow a leaf of "successful leadership" from experienced and successful airlines.
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